K Line Auto Logistics Philippines, Inc. (KALP), a joint venture between “K” LINE and local partners, has signed a contract with a major automobile manufacturer and started to work together with them since November.
In Asia, automobile sales are very active, especially within the ASEAN region. Demand for finished car distribution is increasing, such as improving the efficiency of supply chains to transport and sales of imported/manufactured automobiles. In particular, the Philippine’s domestic distribution demand of finished vehicles is increasing. New car sales in the Philippines have recorded the highest numbers for 5 consecutive years. In 2017, an increase of about 16% was also recorded, so KALP aims to target that local customer need.
KALP provides high quality and value added services for import customs clearance, land transportation, storage, and Pre-Delivery Inspection (PDI). Last year, in Vietnam, where growth of new car sales is also remarkable, K Line started total service of logistics for finished vehicles for the first time, and have been providing integrated transportation in cooperation with maritime transportation service by K Line Pure Car Carriers (PCC).
The launching of KALP’s automobile logistics-related service in the Philippines marks the tenth country, with service now covering major ASEAN countries.